STUDENT FINANCIAL AID HANDBOOK
2015–2016 ACADEMIC YEAR
Table of Contents
1. The Financial Aid Process at a Glance............................................................................. 3
2. How to Apply for Financial Aid...................................................................................... 3
3. Determining Aid Eligibility.............................................................................................. 5
4. Types of Financial Aid................................................................................................... 8
5. Cost of Attendance...................................................................................................... 15
6. Satisfactory Academic Progress.................................................................................... 16
7. Frequently Asked Questions.......................................................................................... 19
8. Suspension of Financial Aid Eligibility for Drug-Related Offenses ...................................... 20
9. Glossary.................................................................................................................... 20
10. Resources................................................................................................................ 22
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1. The Financial Aid Process at a Glance
1. Complete the Admission and Financial Aid application processes. This may lead to an offer of admission and a Financial
Aid Award Letter.
2. Receive a Financial Aid Award Letter, which is accessible through DrexelOne and Discover Drexel.
3. Drexel University scholarship eligibility is determined at the time of admission. Students will be notified of their eligibility
in either their Financial Aid Award Letter or to visit Discover Drexel.
4. If you plan to borrow Direct, Parent PLUS, or Graduate PLUS Loan(s), complete an entrance interview at
studentloans.gov.
5. If you plan to borrow, complete Direct, Parent PLUS, or Graduate PLUS Loan Master Promissory Notes (MPN). Your
Award Letter will note which loan type and how much you are eligible to borrow. Complete an online MPN for each loan
type at studentloans.gov. A credit check is required for PLUS Loans.
6. Complete Promissory Notes for campus-based loans (Perkins Loan and Loans for Disadvantaged Students). Eligible
students will be notified directly by the Drexel University loan servicer, Heartland ECSI.
7. Upon starting the first term of enrollment, funds are credited (disbursed) to the student’s account. All funding will be
applied to direct costs first. Any credit balances will be refunded to the student.
8. Excess funds (after the student’s bill is paid in full) can be deposited electronically into the student’s bank account. A
student must sign up for direct deposit via their DrexelOne account for this to occur; otherwise, excess funds will be
distributed via paper check. These funds will be available to you within three days if you meet all eligibility requirements.
Excess funds from Parent PLUS Loans must be paid to the borrower unless the student is selected to be the recipient on
the loan application.
2. How to Apply for Financial Aid
A) Incoming Freshman and Transfer Student Applications
In order to be eligible for institutional need-based aid, freshman undergraduates and transfer students must complete the
College Scholarship Services (CSS) Profile. The Free Application for Federal Student Aid (FAFSA) must be completed in order
to determine eligibility for federal student aid.
The CSS Profile
This is required for all entering freshman and transfer undergraduate students in order to be considered for Drexel needbased financial aid. A fee of $25 is assessed for submission of the Profile to the first school and $16 for all subsequent schools.
Any first-year student whose parents live in the United States is considered eligible for Profile fee waivers; family income and
assets, as reported on the Profile application, determine final eligibility for a fee waiver. Domestic, first-year students who are
orphans or wards-of-the-court under the age of 24 are automatically eligible for a fee waiver.
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The Free Application for Federal Student Aid (FAFSA)
The FAFSA application enables Drexel University to determine your eligibility for Federal Student Aid (FSA)
programs: Federal Pell Grant; Federal Supplemental Educational Opportunity Grant (SEOG); Federal Work-Study; Federal
Perkins Loan; Federal Direct Subsidized and Federal Unsubsidized Loans; and Federal Parent/Graduate PLUS Loans. In
order to be considered for all of these programs, you must submit your FAFSA by February 15, 2016.
The FAFSA produces an Institutional Student Information Record (ISIR) and a Student Aid Report (SAR), which is a
summary of the information you provided and submitted to all educational institutions you indicated on the form.
B) Continuing and Online Student Applications
All continuing and online students must complete the FAFSA in order to be considered for federal student aid programs.
Online students must also complete the Institutional Financial Aid Application.
The Free Application for Federal Student Aid (FAFSA)
The FAFSA application enables Drexel University to determine your eligibility for Federal Student Aid (FSA)
programs: Federal Pell Grant; Federal Supplemental Educational Opportunity Grant (SEOG); Federal Work-Study; Federal
Perkins Loan; Federal Direct Subsidized and Federal Unsubsidized Loans; and Federal Parent/Graduate PLUS Loans. In
order to be considered for all of these programs, you must submit your FAFSA by February 15, 2016.
The FAFSA produces an Institutional Student Information Record (ISIR) and a Student Aid Report (SAR), which is a
summary of the information you provided and submitted to all educational institutions you indicated on the form.
Institutional Financial Aid Application
The Institutional Financial Aid Application is a Drexel application required to be completed for new and continuing online,
students. Information regarding your enrollment per term that is provided on this form is used by Drexel to determine your
eligibility for financial aid.
The application is completed via a PDF form which can be accessed online at drexel.edu/drexelcentral/finaid/eligibility/
all-forms-apps/.
C) Graduate and Professional Student Applications
All graduate and professional students must complete the FAFSA in order to be considered for federal student aid
programs. Graduate and professional students in certain programs must also complete the Institutional Financial Aid
Application.
The Free Application for Federal Student Aid (FAFSA)
The FAFSA application enables Drexel University to determine your eligibility for Federal Student Aid (FSA)
programs: Federal Pell Grant; Federal Supplemental Educational Opportunity Grant (SEOG); Federal Work-Study; Federal
Perkins Loan; Federal Direct Subsidized and Federal Unsubsidized Loans; and Federal Parent/Graduate PLUS Loans. In
order to be considered for all of these programs, you must submit your FAFSA by February 15, 2016.
The FAFSA produces an Institutional Student Information Record (ISIR) and a Student Aid Report (SAR), which is a
summary of the information you provided and submitted to all educational institutionals you indicated on the form.
Institutional Financial Aid Application
The Institutional Financial Aid Application is a Drexel application required to be completed by graduate and
professional students in certain programs. A list of programs exempt from this requirement can be found at
drexel.edu/drexelcentral/finaid/prospective-students/1516_grad/. Information regarding your enrollment per term
that is provided on this form is used by Drexel to determine your eligibility for financial aid. The application is completed
via a PDF form which can be accessed online at drexel.edu/drexelcentral/finaid/forms/all-forms-apps/.
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D) Additional Steps
Pennsylvania Higher Education Assistance Agency (PHEAA) Grant Application
The PHEAA application is for undergraduate students who are Pennsylvania residents and first-time applicants. Visit
pheaa.org/funding-opportunities/state-grant-program to apply or renew your application.
Federal Verification Process
Required by the U.S. Department of Education, verification is the process of confirming information submitted on the Free
Application for Federal Student Aid (FAFSA) for Federal Student Aid (also known as Title IV Funds). Federal Student Aid/
Title IV Funding are grant, loan, and work-study programs administered by the U.S. Department of Education and include
the following: Direct Subsidized/Unsubsidized Loans, Direct Parent PLUS Loan, Direct Graduate PLUS Loan, Pell Grant,
Supplemental Educational Opportunity Grant (SEOG), Perkins Loan and Federal Work-Study. Scholarships and grants
from Drexel, state government, or private organizations are not considered Federal Student Aid/Title IV Funding.
If selected for verification, Drexel University will provide guidance about completing this process. Do not follow the
guidance on your Student Aid Report (SAR). Verification requires the submission of the Verification Worksheet along with
other source documents that prove, for example, income earned, taxes paid, other income, marital status, household size,
number in college, and more.
Tax transcripts and other income documents may be requested during this process. We encourage you and your parents to
complete federal tax returns early enough to meet our deadline dates for submitting the FAFSA. You may use estimates of
income and taxes paid to meet the financial aid application deadlines. You will be advised by Drexel Central to complete
verification within 30 days. Failure to fulfill verification requirements will delay and/or disqualify you from receipt of
Federal Student Aid/Title IV funds.
Selective Service Requirements
Male students are required to register with the Selective Service System. You can learn more about
Selective Service registration requirements and your status by visiting sss.gov.
Deadlines
Take note of the deadlines indicated throughout this handbook. This is critical to eligibility for funding. Deadlines are also
communicated through DrexelOne and the Drexel Central website.
Additionally, there is a Deadline Guide section on page 7 in this handbook.
Special Note for International Students
International students should refer to drexel.edu/drexelcentral/financing/international for a listing of financial
resources.
3. Determining Aid Eligibility
A) Federal Financial Aid Eligibility
Initial federal financial aid eligibility requires one or more of the following:
•
•
U.S. Citizen or National, U.S. Permanent Resident, citizen of certain Pacific Islands, or other eligible non-citizen;
ISIR Social Security match is successful;
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•
•
•
•
•
ISIR comment indicates INS match is successful; citizenship status not confirmed, but resolved through acceptable
documentation or secondary confirmation;
Student not in default on a Title IV (Federal) loan;
Student not in overpayment status;
Student has not exceeded annual or aggregate loan limits;
Bankruptcy and total permanent disability resolved (if applicable).
Once you complete the financial aid application process, the Department of Education will provide Drexel with the
student’s Estimated Family Contribution (EFC), which will assist Drexel in creating your financial aid package. The
FAFSA, which produces an Institutional Student Information Record (ISIR) for schools, and a Student Aid Report (SAR)
for students, enables Drexel University to determine your eligibility for all Federal Student Aid. You will get electronic
confirmation once your FAFSA is processed. Drexel Central will advise you if it is unable to retrieve your ISIR.
The EFC is compared to one year of your college educational expenses (Cost of Attendance) at Drexel University to
determine your eligibility for need-based and non-need-based financial aid. The SAR/ISIR summarizes the data submitted
by you, your parent(s), and if married, your spouse. It enables you and the Financial Aid Office to amend missing or
incorrect information. The Financial Aid Office’s initial offer of need-based aid on the estimated Financial Aid Award Letter
must be recalculated after your submission of the FAFSA. Need-based aid cannot exceed the amount of need shown on your
subsequent Financial Aid Award Letter. In addition, changes in Financial Aid eligibility may occur if information is
corrected after your original submission of the FAFSA.
Early Action students who complete a CSS Profile may receive an initial financial aid package with estimated federal
student aid awards; in order for the estimated awards to be finalized, a FAFSA must be submitted by February 15, 2016.
Each following year, you must complete a new FAFSA if you still need FSA funds and any other funds that require
submission of the FAFSA.
Special Note for Graduate Health Professions Students
Parent information must be reported on the FAFSA prior to being considered for Primary Care Loans (PCL) and Loans for
Disadvantaged Students (LDS). Students in the Couples and Family Therapy and Physician Assistant programs must
complete the FAFSA and provide parent information to be considered for Scholarships for Disadvantaged Students (SDS).
Definition of Title IV Federal Financial Aid Funding
Federal Financial Aid funding offered by the federal government is done so by the Department of Education. The programs
authorized as Title IV funding are the major source of federal student aid.
Drexel participates in the following Title IV Programs:
•
•
•
Loans
• Direct Subsidized
• Direct Unsubsidized
• Federal Perkins Loan
Grants
• Federal Pell Grant
• Federal Supplemental Educational Opportunity Grant (SEOG)
Federal Work-Study
B) Institutional Financial Aid Eligibility
Undergraduate freshman student eligibility for Drexel University need-based scholarships is based upon the data that you,
your parent(s), and/or your spouse, if married, provide on the College Scholarship Service (CSS) Profile. A new CSS Profile
is not required after the first year of enrollment.
Medical students must complete the online University Scholarship application and the FAFSA.
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C) Financial Aid Deadlines
Financial aid funding is packaged based on the deadlines listed below. In order to be considered for all available funding,
students must adhere to these deadlines.
Freshman Undergraduate Students
Application/Document
Complete and Submit To
Prior To
College Scholarship
Services (CSS) Profile
College Board
student.collegeboard.org/css-financial-aid-profile
11/15/15 - Early Action
2/15/16 - Regular
Decision
Free Application for
Federal Student Aid
(FAFSA)
U.S. Department of Education
fafsa.ed.gov
3/1/2016 (priority
deadline)
Prospective Student
Application
Drexel Office of Admissions
Admissions Deadline
If selected for
Verification:
Drexel Central
30 days after notification
Federal Income Tax
Information,
Institutional Verification Form
and Other
Documentation
All Other Students
Application/Document
Complete and Submit To
Prior To
Institutional Financial Aid Application for continuing health
professions students
Drexel Central
Rolling deadline
Free Application for
Federal Student Aid
(FAFSA)
U.S. Department of Education
fafsa.ed.gov
3/1/2016 (priority
deadline)
Drexel Central
30 days after notification
Renewal applications will be
available to
students who filed in a prior year.
If selected for
Verification:
Federal Income Tax
Information,
Institutional Verification Form
and Other
Documentation
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4. Types of Financial Aid
There are various sources of financial aid available to assist you in paying for your education at Drexel University.
Scholarships and Grants
Scholarships and grants are sources of funding that are not required to be paid back. Sometimes they are referred to as “gift
aid.”
Federal Pell Grant and Supplemental Educational Opportunity Grant Programs
These programs are need–based grant funds that do not need to be repaid. Submission of your FAFSA is required if you
want your eligibility determined for these funds. You must meet and retain all of the eligibility requirements for a Pell Grant
prior to a determination of your SEOG eligibility. Your Financial Aid Award Letter will include either or both of these funds
if you meet the eligibility requirements.
Reserve Officers’ Training Corps (ROTC) Scholarships
ROTC Scholarships are awarded by the U.S. Department of Defense to students on the basis of academic discipline, grade
point average, SAT scores, leadership potential, and physical fitness. Recipients of ROTC scholarships must commit to
participation in the ROTC program at Drexel University and service as an officer in the relevant branch of the armed forces
following graduation.
The scholarship provides tuition, a monthly subsistence allowance during the school year, and an allowance each semester
for books and supplies. Since federal regulations and Pennsylvania grant regulations exclude the ROTC Scholarship,
book allowance, and monthly stipend from the needs analysis formula, ROTC candidates may be eligible for federal aid
and Pennsylvania students may be eligible for the PHEAA state grant. The book allowance and monthly stipend are paid
directly to the student.
Yellow Ribbon
Yellow Ribbon is a provision of the Post-9/11 Veterans Educational Assistance Act of 2008. It permits qualified veterans (or
dependents to whom the benefits have been assigned) to receive an education benefit in excess of the standard $21,084.89
maximum for 2015–16. This maximum is subject to change in future years.
As a participating institution, Drexel University meets 50% of the remaining tuition and fee expenses with a grant and/
or scholarship; the other 50% will be met by the Department of Veteran’ Affairs (VA). Students also receive stipends from
the VA for housing, books, and supplies. Students interested in taking advantage of this program should send us a copy of
their Certificate of Eligibility from the VA. Only individuals determined by the VA to be eligible at the 100% benefit rate
(based on service requirements) may receive Yellow Ribbon Program funding. The book allowance and monthly housing
allowance are paid directly to the student.
Veterans’ Education Benefits
Veterans’ Education Benefits received from the VA (as defined in section 480(c)(2) of the Higher Education Act) are not
treated as estimated financial assistance and are not counted as income on the FAFSA. Noneducational benefits are not
counted as estimated financial assistance, but must be reported as nontaxable income on the FAFSA. Yellow Ribbon
benefits that exceed tuition and fees are considered as financial aid.
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Drexel University Scholarships
Scholarships are awarded on a competitive basis and may reflect academic excellence as well as demonstrated
financial need. The level of scholarship assistance depends on the quality of your academic record, the amount of financial
need, and the availability of funds. See the Drexel Central website for more details on Drexel Grants and Scholarships:
drexel.edu/drexelcentral/finaid/grants.
Loan Programs
Loans are sources of funding that must be repaid.
Federal Perkins Loan Program
Eligibility for this need-based loan program is determined by submission of the FAFSA. Students must demonstrate need to
receive funds from this program.
•
•
•
•
•
Amounts: Up to $5,500 per academic year for undergraduates and up to $8,000 for graduates. The cumulative loan
limit for undergraduate, graduate, and professional study is $60,000.
Interest Rate: Fixed interest rate of 5% without consolidation.
Disbursements: Funds are disbursed at the beginning of each term (equally) during your academic year. Your Award
Letter shows your loan eligibility for one academic year.
In-School Payments and Interest Accrual: The loan requires no payment while you are still in school. It is interestfree while you are enrolled at least half-time and during grace periods.
Promissory Note: If you are offered a Perkins Loan, you must complete a promissory note electronically at the ECSI
website. You will need your FAFSA PIN and at least two references to complete it. The promissory note is only valid for
the Federal Perkins Loan you accept for a specific academic year. You must complete a new promissory note for each
subsequent Federal Perkins Loan you agree to borrow.
Federal Direct Stafford Loans
The Subsidized Direct Loan is need-based and requires submission of the FAFSA. The Subsidized Loan accrues no interest
while you are enrolled at least half-time and during periods of deferment. Interest begins to accrue on the balance when
repayment begins. The Subsidized Loan is only offered to undergraduate students. The Unsubsidized Direct Loan is nonneed-based and requires submission of the FAFSA. The Unsubsidized Loan accrues interest while you are enrolled and
during periods of deferment unless you pay the accruing interest. Any unpaid interest is capitalized (added to the principal)
when repayment begins.
Federal Direct PLUS Loans
Requires your annual submission of the FAFSA, an eligibility determination for a Subsidized Direct Stafford Loan, and an
electronic Master Promissory Note.
This loan program provides unsubsidized federally guaranteed loan funds that accrue interest during periods of nonpayment such as when you are enrolled in school or during other periods of authorized deferment. With a Direct PLUS
Loan, a graduate/professional student or the parent of a dependent student can borrow up to the cost of the student’s
attendance minus other financial aid the student receives. The eligibility requirements for these loan programs require
submission of the FAFSA and an electronic Master Promissory Note. The Parent PLUS Loan eligibility requires an
eligibility determination of a Subsidized Direct Stafford Loan.
Private Education Loans
These loans are credit-based and require a review of your current credit status. In the event of adverse credit, additional
counseling is required. If denied, you may consider reapplying with the Endorser Option.
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Annual and Aggregate Loan Limits for Federal Direct Stafford and PLUS Loans
Direct Stafford Loan Limits (Subsidized and Unsubsidized)
Undergraduate Students
(Dependent)
Undergraduate Students
(Independent)
1st Year
$5,500 ($3,500)
$9,500 ($3,500)
2nd Year
$6,500 ($4,500)
$10,500 ($4,500)
3rd, 4th and 5th Year
$7,500 ($5,500)
$12,500 ($5,500)
Aggregate
$31,000 ($23,000)
$57,500 ($23,000)
•
•
•
•
Graduate Students
$20,500 for each year
$138,500 *
$224,000 **
The numbers in parentheses represent the maximum amount of loans that can be subsidized.
Dependent students whose parents are unable to borrow a Parent PLUS Loan are eligible for independent
undergraduate loan limits.
Graduate professional student and parent loans all accrue interest at the time of disbursement. There is no interest
subsidy.
There is no annual or aggregate limit for PLUS Loans. You may borrow up to Cost of Attendance minus other financial
aid.
* The aggregate amounts for graduate students include loans from undergraduate study.
** The aggregate amounts for medical students include loans from undergraduate study.
Drexel University determines your actual loan amount for an academic year. The aggregate limits include both Direct
Subsidized and Unsubsidized Loans and any subsidized and unsubsidized Stafford Loans received through the Federal
Family Education Loan (FFEL) Program that were originally made by private lenders.
In-School Payments: Payments are not due while you are enrolled at least half-time. Unsubsidized Direct and PLUS Loans
accrue interest until the loan is paid in full. You may pay the accruing interest while you’re enrolled and your parents may
pay the accruing interest on the Parent PLUS Loan while you’re enrolled. Subsidized Direct Stafford Loans accrue interest
six months after you cease to be enrolled at least half-time unless you are in a qualified deferment.
Disbursements: Funds are disbursed at the beginning of each term (equally) during your academic year. Your Award Letter
shows your loan eligibility for one academic year. Students are notified via email when disbursements occur.
Loan Origination Fees
Loan Origination Fees are subtracted from the gross amount that you agreed to borrow. This reduces your loan’s net
amount (the amount paid to Drexel University on your behalf ) by the percentages noted in the chart on the next page.
These fees are withheld by the U.S. Department of Education, not Drexel University.
Loan Type
Direct Subsidized and
Unsubsidized Loans
Direct PLUS Loans
First Disbursement Date
Loan Origination Fee
On or after 12/1/13 and before 10/1/14
1.072%
On or after 10/1/14 and before 10/1/15
1.073%
On or after 12/1/13 and before 10/1/14
4.288%
On or after 10/1/14 and before 10/1/15
4.292%
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Interest Rates
Interest rates vary according to the date of disbursement and the type of loan noted in this chart.
Fixed Rate Loans
Borrower
Undergraduate
Students
Graduate and
Professional
Students
Loan Type
Period of Loan
Fixed Interest Rate
Direct Subsidized and
Unsubsidized Loans
7/1/14 – 6/30/15
4.66%
7/1/13 – 6/30/14
3.86%
Direct Subsidized Loans
7/1/06 – 6/30/13
6.80%
7/1/11 – 6/30/13
3.40%
7/1/10 – 6/30/11
4.50%
7/1/09 – 6/30/10
5.60%
7/1/08 – 6/30/09
6.00%
7/1/06 – 6/30/08
6.80%
7/1/14 – 6/30/15
6.21%
7/1/13 – 6/30/14
5.41%
7/1/06 – 6/30/13
6.80%
7/1/06 – 6/30/13
6.80%
7/1/14 – 6/30/15
7.21%
7/1/13 – 6/30/14
6.41%
7/1/06 – 6/30/13
7.90%
Direct Unsubsidized Loans
Direct Unsubsidized Loans
Direct Subsidized Loans
Parents, and Graduate
Direct PLUS Loans
and Professional Students
Loan Repayment Options
The following repayment methods are available for Direct Stafford Subsidized, Unsubsidized, and PLUS Loans:
Standard Repayment: With the standard plan, you’ll pay a fixed amount each month until your loans are paid in full. Your
monthly payments will be at least $50, and you’ll have up to 10 years to repay your loans.
Extended Repayment: To be eligible for the extended plan, you must have more than $30,000 in Direct Loan debt and you
must not have an outstanding balance on a Direct Loan as of October 7, 1998. Under the extended plan, you have 25 years
for repayment and two payment options: fixed or graduated. Fixed payments are the same amount each month, as with the
standard plan, while graduated payments start low and increase every two years, as with the graduated plan below.
Graduated Repayment: With this plan, your payments start out low and increase every two years. The length of your
repayment period will be up to 10 years. If you expect your income to increase steadily over time, this plan may be right for
you. Your monthly payment will never be less than the amount of interest that accrues between payments. Although your
monthly payment will gradually increase, no single payment under this plan will be more than three times greater than any
other payment.
Income-Based Repayment: Under this plan, the required monthly payment will be based on your income during any
period when you have a partial financial hardship. Your monthly payment may be adjusted annually. The maximum
repayment period under this plan may exceed 10 years. If you meet certain requirements over a specified period of time, you
may qualify for cancellation of any outstanding balance of your loans.
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Income-Contingent Repayment (not available for Parent PLUS Loans): This plan gives you the flexibility to meet your
Direct Loan obligations without causing undue financial hardship. Each year, your monthly payments will be calculated on
the basis of your adjusted gross income (AGI, plus your spouse’s income if you’re married), family size, and the total amount
of your Direct Loans. Under the ICR plan you will pay each month the lesser of:
•
•
The amount you would pay if you repaid your loan in 12 years multiplied by an income percentage factor that varies
with your annual income, or
20% of your monthly discretionary income*
If your payments are not large enough to cover the interest that has accumulated on your loans, the unpaid amount will be
capitalized once each year. However, capitalization will not exceed 10 percent of the original amount you owed when you
entered repayment. Interest will continue to accumulate but will no longer be capitalized.*
The maximum repayment period is 25 years. If you haven’t fully repaid your loans after 25 years (time spent in deferment or
forbearance does not count) under this plan, the unpaid portion will be discharged. You may, however, have to pay taxes on
the amount that is discharged.
* Monthly discretionary income equals your AGI minus the poverty level for your state of residence and family size, divided
by 12. For the current poverty level, see the Poverty Guidelines Chart, which is issued annually by the U.S. Department of
Health and Human Services.
Pay as You Earn Repayment: This plan usually has the lowest monthly payment of the repayment plans that are based on
your income. Your payment amount may increase or decrease each year based on your income and family size. To qualify
for pay as you earn, you must have a partial financial hardship. You have a partial financial hardship if the monthly amount
you would be required to pay on your eligible federal student loans under a 10-year standard repayment plan is higher than
the monthly amount under pay as you earn. Once you’ve qualified for pay as you earn, you may continue to make payments
under the plan even if you no longer have a partial financial hardship. For this purpose, your eligible student loans include
Direct Loans as well as certain types of Federal Family Education Loan (FFEL) Program loans. Although your FFEL loans
cannot be repaid under pay as you earn, the following types are counted in determining whether you have a partial financial
hardship:
•
•
Subsidized and Unsubsidized Federal Stafford Loans
Federal PLUS Loans made to graduate or professional students
•
Federal Consolidation Loans that did not repay any PLUS Loans for parents
You also must be a new borrower as of Oct. 1, 2007, and must have received a disbursement of a Direct Loan on or after Oct.
1, 2011. You are a new borrower if you had no outstanding balance on a Direct Loan or FFEL loan as of Oct. 1, 2007, or had
no outstanding balance on a Direct Loan or FFEL loan when you received a new loan on or after Oct. 1, 2007.
Repaying Your Loans: To learn about loan repayment choices and work out your monthly payment, visit
studentaid.ed.gov/repay-loans/understand/plans.
Federal Work-Study Program (FWS)
This is need-based money earned by you (self-help) while you work for Drexel University. You will not repay these funds
(unlike student loans that must be repaid), and these funds provide you with a source of income as long as you remain
eligible and submit timesheets.
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Students can only work in a Federal Work-Study position during time periods indicated by their academic program showing
that the student is in class. During periods of enrollment, students are not allowed to work more than 20 hours per week.
FWS provides part-time employment (in addition to the co-op experience) and a range of employment opportunities at
on- and off-site locations. You must qualify to participate. FWS also provides you with a paycheck and an income that is
excluded from the following academic year’s financial aid eligibility.
Amounts: The Financial Aid Office makes FWS awards in conjunction with other financial aid programs. The amount
earned depends upon the offer amount on your award letter divided by varying hourly rates and the number of hours
worked. You may be considered for FWS funding if you indicated “yes” to be interested in participating in the work-study
program when completing your FAFSA. Your total work-study award cannot exceed your need and your Cost of Attendance.
Health Professions Students Scholarships
Health professions students are eligible to participate in some additional programs that are funded by the Health
Resources and Services Administration (HRSA). These are known as Title VII programs. They include the Scholarships for
Disadvantaged Students (SDS), the Loans for Disadvantaged Students, and the Primary Care Loan program.
Scholarships for Disadvantaged Students (SDS)
Funded by the Health Resources and Services Administration (HRSA). This scholarship is administered by the Financial
Aid Office for the Physician Assistant and Couples and Family Therapy programs.
This scholarship is offered annually to qualified health professions students on the basis of need, not on the basis of
academic excellence (merit). Due to limited funding, this scholarship is awarded until funds are completely expended.
Consideration is automatic if you complete the financial aid application process, you meet the qualifiers, funds are available,
and you are willing to commit to a primary care specialty after completing residency training.
Eligibility for this scholarship includes:
•
•
•
•
Use of the expected family contribution calculated from your Free Application for Federal Student Aid (FAFSA).
Use of parental income to determine your eligibility for financial need unless you are considered independent by being
at least 24 years old and have not been listed as a dependent on your parents’ income tax return for three or more years.
In those cases, your family income will be used instead of the parental family.
Consideration of estimated resources and other financial aid.
Documentation of your age and independent status.
Loans for Disadvantaged Students (LDS)
Funded by the Health Resources and Services Administration (HRSA). This loan is administered by the Financial Aid
Office for the College of Medicine.
This loan program is offered annually to qualified medical students on the basis of need, not on the basis of academic
excellence (merit). Due to limited funding and other qualifiers, this loan is awarded until funds are expended. Consideration
is automatic if you complete the financial aid application process, you meet the qualifiers, and funds are available.
Eligibility for this loan includes:
•
•
•
•
Use of the expected family contribution calculated from your Free Application for Federal Student Aid (FAFSA).
Use of parental income to determine your eligibility for financial need unless you are considered independent by being
at least 24 years old and have not been listed as a dependent on your parents’ income tax return for three or more years.
In those cases, your family income will be used instead of the parental family.
Consideration of estimated resources and other financial aid.
Documentation of your age and independent status.
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Primary Care Loan (PCL)
Funded by the Health Resources and Services Administration (HRSA). This loan is administered by the Financial Aid
Office for the College of Medicine.
This loan is offered to qualified medical students on the basis of need, not on the basis of academic excellence (merit). Due
to limited funding, this loan is awarded until funds are expended. Consideration is automatic if you complete the financial
aid application process, you meet the qualifiers, funds are available, and you are willing to commit to a primary care
specialty after completing residency training.
Eligibility for this loan includes:
•
•
•
•
Use of the expected family contribution calculated from your Free Application for Federal Student Aid (FAFSA).
Use of parental income to determine your eligibility for financial need unless you are considered independent by being
at least 24 years old and have not been listed as a dependent on your parents’ income tax return for three or more years.
In those cases, your family income will be used instead of the parental family.
Consideration of estimated resources and other financial aid.
Documentation of your age and independent status.
National Health Service Corps (NHSC) Scholarship from the Department of Health and Human Services
The NHSC Scholarship Program awards scholarships to students pursuing primary health care professions training in
NHSC-eligible disciplines in return for a commitment to provide health care to communities in need upon graduation and
the completion of training.
In return for each full or partial school year of financial support received, you must provide primary health care services
for one (1) year at an NHSC-approved site located in a high-need Health Professional Shortage Area (HPSA). You have a
minimum two-year service commitment for the first or partial school year of support.
Contact Information:
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES
Health Resources and Services Administration
Bureau of Clinician Recruitment and Service
5600 Fishers Lane
Rockville, Maryland 20857
For questions, please call 1.800.221.9393 (TTY: 1.877.897.9910), or email GetHelp@hrsa.gov,
Monday through Friday (except federal holidays) 8 a.m. to 8 p.m. EST.
An NHSC scholarship includes:
Tax-free payment is made (for up to four years) for the following eligible expenses:
•
•
•
Tuition
Required fees
Other reasonable educational costs
As a scholarship recipient, you also receive a monthly living stipend that is taxable. The NHSC provides support to you
while in school and offers tools and resources after graduation, during training, and while in practice.
Armed Forces Health Professions Scholarship Programs: Air Force, Army, Navy
The Health Professions Scholarship Program (HPSP) and Financial Assistance Program (FAP) are available through
the U.S. Army, the U.S. Navy, and the U.S. Air Force. Check the various branches of service for deadline and application
information. The HPSP is available to students pursuing advanced degrees in medicine, psychiatric nursing, and clinical
psychology.
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To qualify for the HPSP, you must be:
•
•
•
•
•
Accepted to or enrolled in an AMA or AOA school of medicine in the U.S. or Puerto Rico.
In your first year of didactic education for a PhD or PsyD degree in clinical psychology from an APA-accredited school
in the U.S. or Puerto Rico.
A U.S. Citizen.
Physically qualified for commission as an officer.
Must not have reached the age of 42 at the time of entry into active duty following completion of your education.
The HPSP scholarship programs offer the following benefits:
•
•
•
•
•
•
•
Reimbursement for Required Books, Supplies, and Equipment
Annual Training for HPSP (45 days) and FAP (14 days)
Tuition Payment
A Stipend of $2,157/month
HPSP Signing Bonus for Medical and Dental Students of $20,000
Medical and Dental Health Insurance
Graduate Medical and Dental Education
5. Cost of Attendance (COA)
This figure is the sum of allowances for academic year expenses that only include: tuition, fees, housing, food, utilities,
phone/communications services, transportation to and from school, miscellaneous expenses, books and supplies required
by your program of study, and exams that are prerequisites for graduation. A first-year, full-time undergraduate example of
this is noted in the chart below. A graduate example of a semester-based program is included on the following page. These
allowances are reviewed and established annually by the Financial Aid Office and include annual review of the local cost
of living. Your tuition, fees, and on-campus room and board are actual charges that a student might see on a bill. You can
comfortably live within the remaining allowances if you create a realistic spending plan that delays expenses for goods and
services that aren’t requirements for your education. Think smart and shop wisely now; you control how much you save and
spend each month.
Undergraduate Quarter Sample COA
Fall Quarter
Winter Quarter
Spring Quarter
Total
Tuition
$15,462
$15,462
$15,462
$46,386
Fees
$825
$790
$790
$2,405
Computer
$670
Books*
$400
$400
$400
$1,200
Personal Costs
$838
$838
$838
$2,514
Transportation
$588
$588
$588
$1,764
Room:
On Campus
Commuting
$2,894
$0
$2,894
$0
$2,894
$0
$8,682
$0
Board:
On Campus
Commuting
$1,895
$1,895
$1,895
$1,895
$1,895
$1,895
$5,685
$5,685
On Campus
$23,512
$22,867
$22,867
$68,506
Commuting
$20,678
$19,973
$19,973
$59,84
$670
Totals
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Graduate Semester Sample COA
Fall Semester
Spring Semester
Total
Tuition and Fees
*
*
*
Books
**
**
**
Computer
$670
Personal Costs
$1,233
$1,233
$2,466
Rent
$2,156
$2,156
$5,032
Food
$1,202
$1,202
$2,404
Utilities
$1,643
$1,643
$3,286
Mileage
$864
$864
$1,728
Maintenance
$1,035
$1,035
$2,070
Total
$8,803
$8,803
$8,133
$670
* Tutition and fees will vary per program, please view the Drexel Central website for tuition and fee rates for specific
programs.
** Book costs will vary per a program’s requirements.
Drexel University Shopping Sheet – A Cost Comparison Tool
This printable document enables you to compare your out-of-pocket expenses to attend various postsecondary schools. This
will enable you to make an informed decision about how much you can afford to pay for your postsecondary experience.
Here is a link to the U.S. Department of Education website that takes you to the Shopping Sheet:
www.2.ed.gov/policy/highered/guid/aid-offer/.
6. Satisfactory Academic Progress
You must meet certain standards to remain eligible for federal financial aid. The U.S. Department of Education
requires Drexel University to review Satisfactory Academic Progress (SAP) for each student. You must annually meet two
components of Satisfactory Academic Progress (SAP) to remain eligible for federal financial assistance:
1. Maintain a certain minimum cumulative GPA
2. Earn a certain percentage of attempted course credits (See next page for details)
Eligibility for the following financial aid awards is determined by SAP:
•
•
•
•
•
•
•
Federal Pell Grant
Federal SEOG Grant
Federal Work-Study program
Federal Perkins Loans
Federal Direct PLUS Loans
Federal Direct Subsidized and Unsubsidized Loans
All other federal awards
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Recipients of the Pennsylvania Higher Education Assistance Agency (PHEAA) Grant must also follow certain academic
progress guidelines set by PHEAA. Drexel University has designed an SAP policy that meets the requirements of both
federal and state agencies; however, you can review PHEAA’s SAP policies at PHEAA’s website:
pheaa.org/college-planning/student-aid-guide.
GPA Requirements
•
•
•
Undergraduate students must maintain a cumulative GPA of at least 2.0
Graduate students must maintain a minimum cumulative GPA of 3.0
Law students must maintain a cumulative GPA of 2.2
Completion Percentage
You must complete the appropriate percentage of all courses attempted since the start of your enrollment in your current
academic level (undergraduate, graduate, or professional). This is called the completion percentage rate and it is calculated
by dividing total hours earned by total hours attempted.
It is also important to understand how specific grades and/or course types count toward your completion ratio.
The following grades count as attempted but not completed courses:
• Incomplete (INC)
• No Grade Reported (NGR)
• Withdraw (W)
• F or a Fail (in a pass/fail course)
• No credit (in a credit/no credit course)
Both transfer and advanced placement credits count as attempted and completed courses. As co-op terms are considered a
term of enrollment, assessment of completion is necessary to determine academic progression and ability to progress.
Earned Credits
Registered Completion %
Undergraduate: 0-89.5 credits
60%
Undergraduate: 90-129.5 credits
70%
Undergraduate: 130+ credits
80%
All Graduate/Professional
75%
Academic progress is checked at the end of each academic year (Drexel’s academic year is measured from September to
September for quarter programs and August to August for semester programs). Failure to meet the minimum completion
percentage (of attempted vs. completed credit hours) or maintain the minimum GPA will result in the cancellation of all
impacted financial aid for the upcoming year. The next review will be completed before the start of the following academic
year.
Satisfactory Academic Progress Appeal
If a student is determined to be failing SAP, an appeal may be submitted for reevaluation of Title IV eligibility. Appeals will
be evaluated based upon extenuating circumstances such as a serious illness or death of a parent. Official notification of SAP
failure will include instructions regarding the appeals process. Upon approval of an appeal, financial aid will be
reinstated for the following academic year.
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To file an SAP Appeal, please do the following:
•
•
Complete the SAP Appeal Form and submit to Drexel Central. Make sure to attach any supporting documentation
regarding the circumstances you describe in your appeal.
You will be notified by Drexel Central if your appeal is approved or denied. If approved, you will be required to
complete an SAP Academic Plan in coordination with your academic advisor. This academic plan must be returned to
Drexel Central in order for your financial aid to pay to your account.
Satisfactory Academic Progress for the College of Medicine
As a student enrolled in the College of Medicine, you have a specific time limit to complete the program of study. The
periods are as follows:
Doctor of Medicine (MD)
• Standard: four years
• Maximum: seven years
Doctor of Medicine (MD) and Doctor of Philosophy (PhD) Dual Degree Program
• Standard: seven years
• Maximum: nine years
If you are a transfer student, the total number of years for completing your degree includes time spent at your previous
institution, to the extent that credit hours are transferred and applied toward your degree objectives at Drexel University
College of Medicine. You may be granted the status of Independent Study when you are pursuing either a special course of
remediation or a full-time research fellowship.
You may be granted a leave of absence for a variety of reasons. The time for which you have been approved a leave of
absence is included in the maximum time in which you may complete the program.
The time period for which you are registered to pursue a full-time research fellowship is included in the maximum time in
which you may complete the program.
At the end of each academic year, the Promotions Committee will review your qualitative assessment of performance, which
is given by the faculty member for each course in which you are enrolled. It may be a grade, a pass or fail, or another form
of evaluation. If you do not satisfactorily complete all course requirements, you may be permitted to remediate. In that case,
you will be assigned a schedule that deviates from the norm. You are required to earn satisfactory qualitative assessment in
all courses for which you are enrolled.
Grade Requirements
The College of Medicine does not measure academic progress by means of a cumulative grade point average. You are
required to complete courses with an “S” grade or better. Therefore, grade performance as a measure of satisfactory
academic progress must be reviewed in the context of each course for which you are registered.
The following standards have been established:
•
•
•
Completion of the first year and second year of enrollment. You must have earned an “S” grade or higher in each
required course. You must also satisfactorily pass Step 1 of the United States Medical Licensing Examination® to
progress to the third year.
Completion of the third year of enrollment. You must have earned an “S” or higher in each required course.
Completion of the fourth year of enrollment. You must have earned an “S” or higher in each required course and satisfy
all requirements for graduation, including a passing grade on the United States Medical Licensing Examination®, Step
2.
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As part of a review for remediation the Promotions Committee will also review appeals if you are failing Satisfactory
Academic Progress. If approved you will be placed on financial aid probation and continue receiving financial aid while on
probation as long as you meet the requirements for remediation stated by the Promotions Committee.
If you do not meet the requirements for remediation as stated by the Promotions Committee, you will separated from the
college.
7. Frequently Asked Questions
How Is Financial Aid Credited to My Account?
Every student’s obligation is to pay all direct costs (all tuition, University fees, University room and board or other charges
billed to the student by the University) prior to any funding being disbursed directly to them. Once all direct costs have
been satisfied, students may receive any excess balance directly to their accounts. Students must sign up for direct deposit
(instructions available at drexel.edu/drexelcentral/billing/refunds/direct-deposit). All federal funds are eligible to be
refunded to students after obligation of payment to all direct costs has been satisfied. Federal Direct and Perkins Loans
are credited after the student completes an entrance interview and signs a Master Promissory Note. Federal funds can be
credited to the student’s account as early as 10 days prior to the beginning of the term.
Per federal regulations, Drexel cannot apply more than $200 of federal financial aid to a student’s balance from a prior year.
State and federal grant amounts are generally estimated on award notices for entering students; actual grant amounts are
credited only after official notification is received from the awarding agency and all required forms have been submitted to
the Financial Aid Office. Any necessary adjustment to the awarded amount will occur at that time.
It is important to note that some funds from private sources may require a student to endorse the check before it can be
credited to the account. Federal Work-Study earnings do not appear as a credit on a student’s account.
Does Tuition Assistance Or Tuition Remission Affect My Eligibility for Financial Aid?
Tuition assistance or remission provided by an employer is considered a form of financial aid. It does not reduce the
family’s expected contribution, but rather is treated as a resource that must be included in the financial aid award. Tuition
assistance or remission will reduce the total Cost of Attendance. Eligibility for need-based aid will be calculated on the
resulting reduced need. These earnings are paid directly to the student as a paycheck.
Is the Money I Receive for Financial Aid Taxed?
U.S. Citizens: Income earned from Federal Work-Study or institutional employment is subject to federal and state income
taxes, as with any other earnings. Money received from grants and scholarships may be subject to federal income taxation
if grants and scholarships from all sources exceed the cost of tuition, fees, books, and required equipment and supplies.
Drexel University will provide a 1098-T that must be submitted with your tax return should you have funding from the
above sources that is taxable. Money received from loans is not taxable. For more detailed information, contact the Internal
Revenue Service or your personal tax advisor.
International Students: Grant and scholarship aid in excess of tuition may be subject to U.S. taxation unless the student’s
home country has a formal tax agreement with the U.S. government.
What if I Withdraw from Drexel University?
Drexel University has established a tuition refund policy that allows a refund of tuition and fees when you withdraw from
Drexel University or when you are billed by credit hour and withdraw from a course(s).
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Adjustments to your financial aid package will be disclosed to you shortly after the effective withdrawal date. Nursing
equipment fees and health insurance are nonrefundable charges.
The Drexel University withdrawal policy is illustrated below. Please note that upon completion of the second week of the term,
students will no longer be refunded 100% of their charges. The refund policy does not include charges for University Housing
and Dining Plans. Please visit the University Housing website (drexel.edu/housing) for further information on housing
cancellations and the Dining & Retail Services website (drexel.edu/dining for dining plans.
8. Suspension of Financial Aid Eligibility for Drug-Related
Offenses
Drug Conviction(s)
A student who has been convicted of any offense under any federal/state law involving the possession or sale of a controlled
substance shall not be eligible to receive any Title IV federal grant, loan, or work assistance. For specific information, go to the
FAFSA website at fafsa.ed.gov, log in, and go to page three of the FAFSA. Their phone number: 1.800.433.3243.
9. Glossary
Award Letter
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•
•
•
Your Financial Aid Award Letter is generated by the Financial Aid Office after you complete the financial aid application
process.
Your Financial Aid Award Letter shows the Cost of Attendance and an Expected Family Contribution. Students may
receive an Award Letter listing scholarships and other need-based and non-need-based aid for which they are eligible.
The Cost of Attendance noted on your Award Letter is the annual total allowed for your program of study and your
period/year of enrollment.
The Financial Aid Award Letter will include all estimated funding.
Cost of Attendance
This figure is the sum of allowances for academic year expenses that only include: tuition, fees, housing, food, utilities, phone/
communications services, transportation to and from school, miscellaneous expenses, books and supplies required by your
program of study, and exams that are prerequisites for graduation.
Disbursement
This means the crediting of scholarship, grant, and student loan funds to your Drexel University account. Funds are
disbursed to your account at the start of each of your academic quarters or semesters per year.
When a disbursement is greater than school charges, the Bursar transmits the excess funds to your account (if you have
completed your electronic transmission approval form), your parent borrower’s account, or via check to you or your parent
borrower. Disbursement timing requires you to budget the excess funds and cover your personal expenses between
disbursements.
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Direct Loan Program
This is a federal loan with two components. The Subsidized portion is need-based, therefore students must submit a FAFSA
to be considered. The Unsubsidized portion is not need-based and eligibility for the subsidized loan must be reviewed first.
Eligible Student
You must be a U.S. Citizen or eligible non-citizen; you are not a defaulted borrower of any student loan funds; you do not
owe a repayment to any federal student financial aid program; and you meet enrollment requirements in a program leading
to a certificate or degree.
Parent and Graduate PLUS Loans require that you and/or your cosigner have a credit history that meets federal
requirements. Alternative loans (private and residency/relocation loans) require you and/or your cosigner to have a credit
score that meets lender-specific requirements.
You must maintain eligibility, or funding may be returned to the appropriate funding source by Drexel University on your
behalf. In addition, you may have to repay funding even if already received.
Endorser Option (PLUS Loans only)
This is the use of a co-borrower to qualify for a PLUS Loan when your credit history disqualifies you. If you have adverse
credit history, you may still borrow a PLUS Loan if you get an endorser who does not have adverse credit history. An
endorser is someone who agrees to repay the loan if you do not. The endorser may not be the student on whose behalf a
parent obtains a PLUS Loan. You may be able to obtain a PLUS Loan with adverse credit history if you document to the
satisfaction of the U.S. Department of Education that extenuating circumstances caused this to occur.
Interest Accrual
This means that interest is adding up because it is not being paid. Oftentimes, the accrual of interest will capitalize when
the loan enters repayment. This is known as Interest Capitalization.
Interest Capitalization
This is when interest that has accrued is added to your principal balance. When this occurs, your loan accrues more interest
(until the balance is paid in full) because the balance has increased with the addition of the interest.
Need
It is the difference between your Cost of Attendance (COA) and the Expected Family Contribution (EFC). For dependent
students, the EFC includes a parent contribution. Determination of need for health professions programs must include the
calculation of the parent and student contribution, even if the student is independent. The total contribution must be less
than your Cost of Attendance to qualify for these need-based programs.
Need-Based Aid
This funding can only be awarded to students who demonstrate financial need. The difference between your COA and
EFC is your eligibility for need-based aid. If your EFC exceeds your COA, you are not eligible for need-based aid. Needbased funds include most scholarships (that have a “need” requirement), and grants (most state grants including PHEAA
and other outside grants), the Pell Grant, the Supplemental Educational Opportunity Grant, the Perkins Loan, Direct
Subsidized Stafford Loan, and Federal Work-Study.
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Non-Need-Based Aid
Consists of unsubsidized Federal Direct Stafford Loans, PLUS Loans (Parent or Graduate/Professional), and private loans,
as well as scholarships and grants based on academic achievement (merit).
Parent Contribution
The parent contribution is derived from information provided on the CSS Profile and/or the FAFSA. This figure is utilized
to determine eligibility for need-based funds for dependent students.
Pell Grant Program
This program is a federal need-based program. These grant program funds do not need to be returned or repaid. To be
eligible, you must be enrolled in an undergraduate course of study at Drexel University, and have not already received a
baccalaureate.
Perkins Loan Program
This is a federal need-based loan program at a fixed 5% interest and must be repaid. Eligibility includes completion of the
FAFSA, enrolled at least half-time, and being a U.S. Citizen.
Student Contribution
The student contribution is derived from information provided on the CSS Profile and/or the FAFSA. Student information
is calculated whether independent or dependent.
Supplemental Educational Opportunity Grant (SEOG) Program
This program is a federal need-based program. These grant program funds do not need to be returned or repaid. To be
eligible, you must be enrolled in an undergraduate course of study at Drexel University, and have not already received a
baccalaureate.
10. Resources
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The College Board: collegeboard.org
Free Application for Federal Student Aid (FAFSA): fafsa.ed.gov
Student Loans: studentloans.gov/mydirectloan
Net Price Calculator: drexel.edu/drexelcentral/npc
Scholarships for Prospective Freshmen: drexel.edu/drexelcentral/finaid/prospective-students
Veterans’ Education Benefits: drexel.edu/drexelcentral/finaid/financing/veterans
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